Interim report
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Member of the Financial Accounting Standards Foundation Accounting Standards Fou FASF MEMBERSHIP Disclaimer : This is a Japanese - English translation of the summary of financial statements of the Company produced for your convenience . Since no auditor audited this report , officially only the Japanese version is assumed to be the summary of financial statements of the Company . This summary does not constitute any guarantee and the Company will not compensate any losses and / or damage stemming from actions taken based on these statements . Should there be any discrepancy between the Japanese and English versions , the Japanese version is assumed to be correct . August 7 , 2026 Company Name : Stock Listing : Stock Code : URL : Representative : Contact : Consolidated Earnings Report for the First Three Month of Fiscal 2026 [ Japanese GAAP ] BML , Inc. Tokyo Stock Exchange 4694 https://www.bml.co.jp Kensuke Kondo , President and Representative Director Norihisa Takebe , Representative Director and Senior Managing Executive Officer Tel : + 81-3-3350-0111 Scheduled Date for Payment of Dividends : Creation of Supplementary Explanatory Materials : Holding of Explanatory Meeting : None None ( Rounded down to nearest million yen ) 1. Results for the First Three Month of Fiscal 2026 ( April 1 , 2026 – June 30 , 2026 ) ( 1 ) Consolidated business results ( % indicates year - on - year changes ) Profit attributable to Net sales Operating profit Ordinary profit owners of parent ¥ million % ¥ million % ¥ million % ¥ million % First three month 39,036 2.7 3,000 7.0 3,114 7.2 1,980 6.3 of FY2026 First three month 38,026 6.8 2,804 10.1 2,904 9.6 1,862 9.1 of FY2025 ( Note ) Comprehensive income : First three month of FY2026 First three month of FY2025 ¥ 1,960 million / 5.2 % ¥ 1,862 million / 8.3 % First three month of FY2026 First three month of FY2025 Basic earnings per share Yen 52.85 47.75 Diluted earnings per share Yen 52.82 47.73
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(2) Consolidated financial position Total assets Net assets Equity ratio ¥ million ¥ million % As of June 30, 2026 179,931 131,507 70.6 As of March 31, 2026 183,247 132,129 69.7 (Reference) Equity capital: As of June 30, 2026 ¥ 127,091 million As of March 31, 2026 ¥ 127,646 million 2. Dividends Dividends per share First quarter-end Second quarter-end Third quarter-end Year-end Full year Yen Yen Yen Yen Yen FY2025 – 60.00 – 65.00 125.00 FY2026 – FY2026 (forecast) 62.50 – 62.50 125.00 (Note) Revision of dividend projection from recently announced figures: None 3. Consolidated Cumulative Earnings Forecast for the Fiscal Year Ending March 31, 2027 (April 1, 2026–March 31, 2027) (% indicates year-on-year changes) Net sales Operating profit Ordinary profit Profit attributable to owners of parent Basic earnings per share ¥ million % ¥ million % ¥ million % ¥ million % Yen Full year 155,000 3.2 10,500 0.8 11,000 (0.1) 7,000 (9.7) 186.75 (Note) Revision from recently projected results: None
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* Notes (1) Significant changes in the scope of consolidation during the period: None Newly included: - companies (Company name: ) Excluded: - companies (Company name: ) (2) Adoption of accounting treatment specific to the preparation of quarterly consolidated financial statements: None (3) Changes in accounting policies, changes in accounting estimates, and restatement 1) Changes in accounting policies due to revisions to accounting standards and other regulations: None 2) Changes in accounting policies due to other reason: None 3) Changes in accounting estimates: None 4) Restatement: None (4) Number of outstanding shares (common shares) a. Number of outstanding shares at the end of the period (treasury shares included) As of June 30, 2026 40,749,426 As of March 31, 2026 40,749,426 b. Number of treasury shares at the end of the period As of June 30, 2026 3,265,827 As of March 31, 2026 3,265,827 c. Average number of shares during the period First three month of FY2026 37,483,599 First three month of FY2025 39,006,609 * Review of the attached quarterly financial results conducted by certified public accountants or an audit firm: None * Proper use of earnings forecasts, and other special matters Earnings forecasts contained in these materials are based on certain assumptions judged to be reasonable, and on the information available when the forecasts were made. However, the Company makes no guarantee that these forecasts will be achieved. Actual results may differ significantly from the forecasts due to a variety of factors. Please refer to “(3) Consolidated earnings forecasts and others” under “1. Overview of Financial Performance” on page 3 of this earnings report concerning financial forecasts such as the assumptions used for financial forecasts, factors that could cause these assumptions to change, and cautionary notes.
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1 Table of Contents - Attachments 1. Overview of Financial Performance .................................................................................. 2 (1) Operating results for cumulative quarter under review ................................................ 2 (2) Financial position for cumulative quarter under review .............................................. 3 (3) Consolidated earnings forecasts and others ................................................................. 3 2. Consolidated Financial Statements and Primary Notes ..................................................... 4 (1) Consolidated balance sheets ........................................................................................ 4 (2) Consolidated statements of income and consolidated statements of comprehensive income ..................................................... 6 Consolidated statements of income .......................................................................... 6 April 1, 2026 – June 30, 2026 .................................................................................. 6 Consolidated statements of comprehensive income ................................................ 7 April 1, 2026 – June 30, 2026 .................................................................................. 7 (3) Notes to quarterly consolidated financial statements ................................................... 8 (Notes on segment information, etc.) ....................................................................... 8 (Notes on significant changes in the amount of shareholders’ equity) ..................... 8 (Notes on the assumption as a going concern) ......................................................... 8 (Notes on the statements of cash flows) ................................................................... 8 3. Other .................................................................................................................................. 9 Breakdown of sales ............................................................................................................ 9
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2 1. Overview of Financial Performance (1) Operating results for cumulative quarter under review In the first three months of the fiscal year under review, the Japanese economy continued to show a mild recovery trend due to improvements in the employment and income environment, as well as the effects of various government policies. However, it is necessary to pay atten tion to the impact of the situation in the Middle East and fluctuations in financial and capital markets and other trends. Under these economic conditions, in the contract clinical testing industry, FY2026 is a year for the biennial revision of medical service fees under the national health insurance (NHI) system. Although there was no reduction in medical service fees for clinical testing as in the past, the business environment continues to be challenging due to rising costs as well as increasing burdens associated with securing personnel amid labor shortages. Under these circumstances, net sales for the first three months of the fiscal year under review were ¥39,036 million, an increase of 2.7% year on year, and operating profit was ¥3,000 million, an increase of 7.0% year on year. Ordinary profit was ¥ 3,114 million, an increase of 7.2% year on year, and profit attributable to owners of parent was ¥1,980 million, an increase of 6.3 % year on year. Net sales increased due to steady progress in acq uiring new customers and the promotion of price optimization measures that we have been pursuing. Profit increased due to higher net sales from acquiring new customers and price optimization, despite an increase in depreciation associated with the start of operations for testing equipment in the new wings of the BML General Laboratory. Conditions by business segment are described below. In the clinical testing business, the BML Group strengthened efforts to acquire new customers and aimed to enhance business performance by implementing activities such as optimizing sales prices and further developing sales to existing customers of items, including new testing items and priority testing items. As a result, net sales in the clinical testing business increased by 3.0% year on year. In the food hygiene business, we promoted the optimization of trading conditions, with a focus on major customers. Additionally, the amount of orders received for store inspections and factory audits increased in the food consulting business. Furthermore, the number of microbiological testing contracts in the food testing business remained steady. As a result, net sales in the food hygiene business increased by 2.1% year on year. As a result of the above, net sales in the testing business overall increased by 3.0% year on year. In the medical informatics business, although new implementations of electronic medical records increased, net sales decreased by 2.9% year on year due to a decline in replacement projects. In other businesses, net sales decreased by 7.3% year on year primarily due to a decline in the number of cases acquired in our site management organization (SMO) services for clinical trials at medical institutions, as well as the impact of revisions to medical service fees and a decrease in prescriptions for high-cost drugs in the dispensing pharmacy business.
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3 (2) Financial position for cumulative quarter under review Assets, liabilities, and net assets Regarding the financial position at the end of the first three months of the fiscal year under review, total assets amounted to ¥179,931 million, a ¥3,316 million decrease over the end of the previous fiscal year, net assets totaled ¥13 1,507 million, down ¥ 622 million over the end of the previous fiscal year, and the equity ratio was 70.6%, a 0.9 percentage point increase over the end of the previous fiscal year. The main items contributing to increases or decreases are as follows. In the assets section, in current assets, cash and deposits decreased by ¥ 14,670 million, while notes and accounts receivable - trade increased by ¥2, 147 million. In non-current assets, property, plant and equipment increased by ¥8,890 million. In the liabilities section, current liabilities decreased by ¥3,688 million. In the net assets section, retained earnings decreased by ¥455 million. (3) Consolidated earnings forecasts and others The Company has not changed its forecasts for consolidated results for the full year announced in the beginning of the fiscal year under review.
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4 2. Consolidated Financial Statements and Primary Notes (1) Consolidated balance sheets (Millions of yen) As of March 31, 2026 As of June 30, 2026 Assets Current assets Cash and deposits 68,029 53,359 Notes and accounts receivable - trade 26,827 28,975 Merchandise and finished goods 334 364 Work in process 904 950 Raw materials and supplies 3,605 3,527 Other 2,066 1,804 Allowance for doubtful accounts (60) (68) Total current assets 101,707 88,913 Non-current assets Property, plant and equipment Buildings and structures, net 29,913 30,900 Land 16,117 25,375 Other, net 17,495 16,141 Total property, plant and equipment 63,527 72,417 Intangible assets Other 4,695 4,694 Total intangible assets 4,695 4,694 Investments and other assets Other 13,395 13,969 Allowance for doubtful accounts (78) (63) Total investments and other assets 13,317 13,906 Total non-current assets 81,539 91,017 Total assets 183,247 179,931
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5 (Millions of yen) As of March 31, 2026 As of June 30, 2026 Liabilities Current liabilities Notes and accounts payable - trade 20,229 21,289 Provision for bonuses 3,918 3,239 Other 16,740 12,671 Total current liabilities 40,887 37,199 Non-current liabilities Retirement benefit liability 6,347 6,391 Provision for retirement benefits for directors (and other officers) 203 151 Other 3,679 4,681 Total non-current liabilities 10,230 11,223 Total liabilities 51,117 48,423 Net assets Shareholders’ equity Share capital 6,045 6,045 Capital surplus 6,646 6,646 Retained earnings 120,945 120,490 Treasury shares (9,157) (9,157) Total shareholders’ equity 124,480 124,025 Accumulated other comprehensive income Valuation difference on available-for-sale securities 706 690 Remeasurements of defined benefit plans 2,458 2,375 Total accumulated other comprehensive income 3,165 3,065 Share acquisition rights 21 21 Non-controlling interests 4,461 4,394 Total net assets 132,129 131,507 Total liabilities and net assets 183,247 179,931
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6 (2) Consolidated statements of income and consolidated statements of comprehensive income Consolidated statements of income April 1, 2026 – June 30, 2026 (Millions of yen) Three Months Ended June 30, 2025 (April 1, 2025 to June 30, 2025) Three Months Ended June 30, 2026 (April 1, 2026 to June 30, 2026) Net sales Cost of sales 38,026 25,509 39,036 25,946 Gross profit 12,516 13,089 Selling, general and administrative expenses 9,711 10,089 Operating profit 2,804 3,000 Non-operating income Dividend income Rental income from real estate Other 72 12 64 75 15 73 Total non-operating income 150 164 Non-operating expenses Interest expenses Rental costs on real estate Other 30 13 6 31 11 8 Total non-operating expenses 50 50 Ordinary profit 2,904 3,114 Extraordinary income Gain on sale of non-current assets Gain on sale of investment securities – – 1 1 Total extraordinary income – 3 Extraordinary losses Loss on retirement of non-current assets Other 4 – 10 0 Total extraordinary losses 4 10 Profit before income taxes 2,900 3,107 Income taxes - current Income taxes - deferred 533 433 593 453 Total income taxes 967 1,046 Profit 1,932 2,060 Profit attributable to non-controlling interests 70 79 Profit attributable to owners of parent 1,862 1,980
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7 Consolidated statements of comprehensive income April 1, 2026 – June 30, 2026 (Millions of yen) Three Months Ended June 30, 2025 (April 1, 2025 to June 30, 2025) Three Months Ended June 30, 2026 (April 1, 2026 to June 30, 2026) Profit 1,932 2,060 Other comprehensive income Valuation difference on available-for-sale securities (31) (16) Remeasurements of defined benefit plans, net of tax (38) (83) Total other comprehensive income (70) (100) Comprehensive income 1,862 1,960 Comprehensive income attributable to Comprehensive income attributable to owners of parent 1,792 1,881 Comprehensive income attributable to non-controlling interests 69 78
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8 (3) Notes to quarterly consolidated financial statements (Notes on segment information, etc.) [Segment information] I. Three months ended June 30, 2025 (From April 1, 2025 to June 30, 2025) 1. Information about net sales and profit or loss by reportable segment Since information related to the business other than the reportable “testing business” segment is deemed immaterial, separate disclosure of the information is omitted. 2. Disclosure of impairment losses on non-current assets or goodwill, etc. for each reportable segment Not applicable II. Three months ended June 30, 2026 (From April 1, 2026 to June 30, 2026) 1. Information about net sales and profit or loss by reportable segment Since information related to the business other than the reportable “testing business” segment is deemed immaterial, separate disclosure of the information is omitted. 2. Disclosure of impairment losses on non-current assets or goodwill, etc. for each reportable segment Not applicable (Notes on significant changes in the amount of shareholders’ equity) Not applicable (Notes on the assumption as a going concern) Not applicable (Notes on the statements of cash flows) A quarterly statement of cash flows has not been prepared in relation to the first three months of the fiscal year ending March 31, 2027 . Amounts of depreciation (including amortization of intangible assets) associated with the first three months of the fiscal year ending March 31, 2027, are as follows. (Millions of yen) Three months ended June 30, 2025 Three months ended June 30, 2026 Depreciation 2,141 2,245
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9 3. Other Breakdown of sales Testing Three Months Ended June 30, 2025 Three Months Ended June 30, 2026 Change (%) ¥ million % of total ¥ million % of total Testing business Clinical testing business Biochemical tests 14,658 38.5 15,102 38.7 3.0 Hematological tests 3,053 8.0 3,133 8.0 2.6 Immunological tests 8,050 21.2 8,028 20.6 (0.3) Microbiological tests 1,825 4.8 1,892 4.8 3.7 Pathological tests 2,529 6.7 2,687 6.9 6.2 Other tests 5,031 13.2 5,356 13.7 6.5 (Clinical testing business subtotal) 35,148 92.4 36,200 92.7 3.0 Food hygiene business 1,181 3.1 1,206 3.1 2.1 Testing business subtotal 36,330 95.5 37,407 95.8 3.0 Medical informatics business 1,317 3.5 1,278 3.3 (2.9) Other businesses 378 1.0 350 0.9 (7.3) Total 38,026 100.0 39,036 100.0 2.7